HMRC tax receipts slide 4.4%

HMRC has seen a decline in tax revenues over the latest financial year as a result of the pandemic, figures from the National Audit Office (NAO) reveal. HMRC reported total tax revenues of £608.8bn in the 2020/21 financial year, representing a £27.9bn decline from the previous year. Analysis shows income tax, national insurance contributions and VAT were the main source of tax office revenues. The pandemic has significantly reduced tax revenues and made it more difficult for HMRC to take enforcement action. Now that the initial impact of the pandemic has eased, normal tax compliance levels should be restored.

 

Evening Standard

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